Bank of Baroda (BoB), country’s public sector lender is likely to reduce its bulk deposits amounting to Rs 18,000 crore by the end of March, in order to bring stability to its funding profile and to improve interest margins. These bulk deposits due have already declined to Rs 50,000 crore by January-end from Rs 57,000 crore in December 2012. The bank aims to decline the share of bulk deposits by 10%, below the floor level indicated by the government to state-owned banks.
The bank’s net for third quarter ended December 31, 2012, slipped by 21.58% at Rs 1011.62 crore as against Rs 1289.85 crore for the quarter ended December 31, 2011. Bank’s total income has increased by 9.80% to Rs 9685.51 crore for the quarter under review from Rs 8821.32 crore for Q3FY12.